Copper price has been struggling to gain since this morning today. China’s efforts to boost its economy and property sector sparked demand optimism in the world’s top metal consumer, which lifted some support initially in the week. However, prices retreated on profit taking amid higher inventories.
Copper futures rose 1% to $3.7690 a pound, MCX copper at 712.30, down 0.22%.
Meanwhile, weakness in the US dollar also supported the copper price recently. Likewise burdening the market was supply gambles. A significant Panama copper mine show to Canada’s Most memorable Quantum Minerals FM isn’t working at business levels, a representative said on Thursday, following barricades by dissenters at a critical port that kept the digger from getting shipments of coal that power the site and different supplies.
Focus will remain on more planned stimulus measures from China, as the government prepared a whitelist of property developers for access to more funding. The property area is a critical driver of Chinese copper interest.
On the stock front, center stayed around copper mine terminations in Panama and Peru, which might actually fix supplies going into 2024. Such a situation, combined with expanded interest for the red metal, presents an uplifting perspective at costs.
Technical Outlook
Copper price retreated from 21 November 2023 high 719.30 and traded at 712.35, down 0.21% today. Yesterday, it settled at 713.85 compared to the previous day’s close of 712.85.
On the above chart, prices trading near to crucial support 710.00 coincided with 38.2% Fibonacci Retracement. A break below only prices may retreat towards 706.45-702.00 again.
Alternatively, prices appear to consolidate around 710.00-720.20 in near future.
Overall momentum could be remain neutral, as focus will shift on more stimulus measures from China
Commodity Samachar
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